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Scope of Using Autonomous Trucks and Lorries for Parcel Deliveries in Urban Settings

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Scope of Using Autonomous Trucks and Lorries for Parcel Deliveries in Urban Settings logistics Article Scope of Using Autonomous Trucks and Lorries for Parcel Deliveries in Urban Settings Evelyne Tina Kassai, Muhammad Azmat * and Sebastian Kummer Welthandelsplatz 1, Institute for Transport and Logistics Management, WU (Vienna University of Economics and Business), 1020 Vienna, Austria; [email protected] (E.T.K.); [email protected] (S.K.) * Correspondence: [email protected] Received: 17 June 2020; Accepted: 21 July 2020; Published: 7 August 2020 Abstract: Courier, express, and parcel (CEP) services represent one of the most challenging and dynamic sectors of the logistics industry. Companies of this sector must solve several challenges to keep up with the rapid changes in the market. In this context, the introduction of autonomous delivery using self-driving trucks might be an appropriate solution to overcome the problems that the industry is facing today. This paper investigates if the introduction of autonomous trucks would be feasible for deliveries in urban areas from the experts’ point of view. Furthermore, the potential advantages of such autonomous vehicles were highlighted and compared to traditional delivery methods. At the same time, barriers that could slow down or hinder such an implementation were also discovered by conducting semi-structured interviews with experts from the field. The results show that CEP companies are interested in innovative logistics solutions such as autonomous vans, especially when it comes to business-to-consumer (B2C) activities. Most of the experts acknowledge the benefits that self-driving vans could bring once on the market. Despite that, there are still some difficulties that need to be solved before actual implementation. If this type of vehicle will become the sector’s disruptor is yet to be seen. Keywords: self-driving trucks; autonomous vans; CEP companies; CEP sector; autonomous delivery; urban logistics; logistics 1. Introduction Due to the complexity of urban areas, planning and execution of transport and logistics are among the most challenging tasks faced by private organizations and public authorities. Nowadays, the last-mile problem generates significant issues for delivery service providers, and to remain competitive, these companies must deal with several challenges [1]. This research presents a comprehensive overview of autonomous trucks or lorries (T&L), as upcoming developments that could alter the customer experience and the logistics behind urban deliveries. While a decade ago, driverless vehicles seemed unimaginable; they are getting closer to become a reality. According to the “DHL Logistics Trend Radar,” self-driving vehicles have a high probability of fundamentally transforming the way businesses are executed today, creating new possibilities in different sectors [2]. Moreover, driverless cars could reshape our society and have such an enormous impact on humanity as the first automobiles. The expression “driverless car” will maybe sound similar to the anachronism “horseless carriage” in the future [3]. The importance of autonomous vehicles (AVs) for future urban logistics development has been stated by a handful of journal articles or institutions. Researchers have highlighted that these advancements in the automobile sector have the potential to significantly reduce the transport and logistics-related challenges in complicated urban settings [1,4]. However, most of the articles in the field either hold a general description of autonomous trucks without distinguishing an industry, or they Logistics 2020, 4, 17; doi:10.3390/logistics4030017 www.mdpi.com/journal/logistics Logistics 2020, 4, 17 2 of 24 present various logistical innovations in the field of courier, express, and parcel (CEP) companies, such as drones, light electric freight vehicles, self-driving parcels or droids [5,6]. Few of the papers have already suggested examining the potential of using autonomous trucks in urban areas for last-mile deliveries, stating that “specific areas such as last-mile logistics would be of interest” [7]. It is still not known how to “assess the benefits of self-driving vehicles for city logistics”, so more research is needed in this area [1]. Finding the possible use cases, advantages, and barriers is crucial to establish a better understanding of the topic as the “challenges of urban logistics change continually” [1]. Thus, a single paper cannot bring the overall solution to this problem, but it could be a good starting point when it comes to autonomous trucks and their implications. The significance of the innovation in the mobility sector with autonomous vehicles is undeniable. Therefore, this paper aims to examine what autonomous T&L could offer in comparison to traditional delivery methods and to what extent these vehicles could be used in the future. This will be answered by presenting the current perception and opinion of the experts working in CEP companies. It leads to the primary research question of this paper: 1. How is the introduction and implementation of self-driving trucks currently viewed by the experts of the CEP segment? In order to answer this question as precisely as possible, the article has two other sub-questions which should enable to examine the main question stated above from two different angles: 1a. How could autonomous T&L be more advantageous than traditional delivery methods when it comes to urban areas? 1b. What are the possible barriers that could hinder or slow down the implementation of autonomous T&L in urban settings? Without formulating research objectives, the “same level of precision” cannot be achieved, as they help to specify and detail the research questions even more [8]. Therefore, this study presents a three-fold research objective: 1. To sketch use-case scenarios for driverless T&L in urban settings; 2. To investigate the feasibility of a potential autonomous delivery implementation from different viewpoints; 3. To review the possible logistical changes this implementation could bring for the CEP sector. 2. Literature Review The purpose of this section is to create an excellent theoretical understanding of the topic and present the state of the art. To achieve this, the chapter will be divided into four different subtopics. The first part will define urban delivery and CEP companies as significant players on the market while elaborating on the challenges related to last-mile delivery. After that, autonomous trucks will be presented as potential solutions for this problem. Lastly, the paper will examine the implications on logistics. Most of the information presented derives from secondary literature, for example, scholarly journal articles. The topic of autonomous trucks is relatively new in the academic field, so a considerable part of the literature review is also based on trend reports or blog posts of consulting firms, companies involved in transportation, logistics or supply chain management, and experts in the field. Besides, the paper has made beneficial use of primary sources found, such as patents. These types of sources were essential to show real-life examples of autonomous vehicles. Last but not least, two events organized by the Institute for Transport and Logistics Management of WU (Vienna University of Economics and Business) were also attended. The first event was a roundtable discussion entitled “KEP-Dienstleister im Schatten der Online-Giganten.” At the same time, the second was an online lecture held by Mr. Jakob Puchinger called “Urban Deliveries with Logistics 2020, 4, 17 3 of 24 Logistics 2020, 4, x FOR PEER REVIEW 3 of 25 AutonomousThus, investigating Vehicles.” different Both events kind helpeds of sou to gatherrce has more ensured information, a robust dig and deeper, reliable and background gain additional for a knowledge about the topic. topic which is still open for discussions. Thus, investigating different kinds of source has ensured a robust and reliable background for a topic which is still open for discussions. 2.1. Urban Delivery 2.1. Urban Delivery 2.1.1. Domains of Urban Logistics 2.1.1. Domains of Urban Logistics The concept of city logistics has gained popularity in the last few years but is not by any means a new phenomenon.The concept of One city logisticsway to hasdescribe gained city popularity logistics in could the last be fewas “finding years but efficient is not by and any meanseffective waysa new to transport phenomenon. goods” One [1] way. Cardenas to describe et al. city [9] logisticsstate that could there be is asa lack “finding of consensus efficient andwhen eff itective comes to waysthe terminology to transport used goods” for [1 different]. Cardenas areas et al. of [ 9urban] state thatlogistics. there In is aorder lack ofto consensus achieve a when certain it comeslevel of transparencyto the terminology, the authors used have for di createfferentdareas a framework of urban with logistics. three In urban order logistics to achieve domains a certain and level present of twotransparency, different scopes: the authors first, havethe geographical created a framework scope describes with three the urban boundaries logistics domainsof each domain and present while specifyingtwo different their scopes:space of first, activity the geographical and second, scope the functional describes thescope boundaries explains of what each the domain focus while of the domainspecifying is [9]. their space of activity and second, the functional scope explains what the focus of the domain is [9]. Urban goods distribution (macro-level) and last-mile delivery (micro-level) will represent the Urban goods distribution (macro-level) and last-mile delivery (micro-level) will represent the dominant fields in the case of this article, as it will analyze how would autonomous trucks alter the dominant fields in the case of this article, as it will analyze how would autonomous trucks alter the design of distribution networks and how they would affect logistics services [9]. Furthermore, it will design of distribution networks and how they would affect logistics services [9]. Furthermore, it will also give a detailed overview of the final product delivery under those new circumstances. However, also give a detailed overview of the final product delivery under those new circumstances.
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